India's steel, alcohol sectors feel unease over UK trade deal

London's carbon border tax a worry even as agreement seen as win amid trade war

A whisky store in Gurugram, India. British whisky makers will benefit from lower import tariffs in India, which has raised concerns among manufacturers in the South Asian country. © Reuters

SAYAN CHAKRABORTY, KIRAN SHARMA, SOUMYAJIT SAHA AND CLEMENT NGU

May 7, 2025 20:24 JST

BENGALURU/MUMBAI/LONDON -- The India-U.K. trade pact has been described as a "landmark deal," but the concessions given by New Delhi have ruffled a few feathers in the South Asian country.

While the deal promises to boost trade between the two countries -- by as much as 25.5 billion pounds ($34 billion), according to the British government -- concerns have been raised in India over the lack of clarity on the U.K.'s carbon tax as well as the impact on the alcohol industry.